Hydra Energy announces a first-of-its-kind strategic alliance with Chemtrade to help accelerate the use of hydrogen in long-haul transportation.
FREMONT, CA: Hydra Energy has recently announced a first-of-its-kind strategic alliance with Chemtrade to help accelerate the use of hydrogen in long-haul transportation. The long-term contract, which involves Hydra capturing, cleaning, and compressing hydrogen, is a pillar of Hydra's Hydrogen-as-a-Service (HaaS) business model. Both companies would initially concentrate on one of Chemtrade's plants in British Columbia, with the possibility of expanding across the region.
Green hydrogen is available at a fixed price for commercial truck fleet operators with Hydra-converted semi-trucks, which is 5 percent less than the cost of gasoline. Utilizing hydrogen-injection technology and fuel source, multi-year pilots demonstrated the potential to minimize greenhouse gas (GHG) emissions by up to 40 percent while maintaining truck efficiency and range. Natural gas distributors can also use green hydrogen to fulfill renewable material requirements.
The capacity of Hydra to allocate stranded hydrogen assets to fleet operators, who can utilize it to decrease fuel costs and reach emission objectives, provides new opportunities for chemical manufacturers. The company's unique HaaS model assists commercial fleets in lowering costs and emissions with minimal risk and no upfront investment. The company installs current semi-trucks with hydrogen-diesel co-combustion conversion kits and offers fueling facilities for green hydrogen sourced from chemical producers such as Chemtrade at no cost to the fleet owners.
"Hydra enables a rapid and affordable transition to cleaner trucking by turning one’s waste into another’s valuable resource. According to a report by Navius Research, Hydras model can be expanded to power tens of thousands of trucks and reduce emissions up to six megatons per year in Canada alone," said Jessica Verhagen, COO of Hydra Energy. "That compares to the same amount of greenhouse gas reductions that the Canadian government forecasts for electric vehicle adoption by 2030."
"Beyond the environmental impact, we've learned from trucking operators that they typically only achieve two to five percent operating margins with fuel costs coming in at half of a fleets operating expenses," highlights David Batstone, Hydra Energy board member and managing director of Just Business, an impact fund out of Silicon Valley. "This represents an opportunity for a more economical approach made possible by a strategic partnership like the one we've just announced with Chemtrade. We offer the most cost-effective approach for chemical manufacturers to turn an often-wasted asset into something of value while delivering hydrogen at below-diesel rates for those commercial truck fleets ready to go green now."